Welfare Effects in the U.S.

from Removing All Significant Trade Restraints in 1999

The following table shows an estimate of the welfare gain that the United States would have received from removing all significant import restraints in 1999. The table shows that the welfare gain to the United States would have exceeded $14 billion, most of which arising from the removal of all import restraints on textiles and apparel. The second (but much lower welfare gain) would come from liberalizing trade in marine transport. Liberalizing trade in sugar would have resulted in a welfare gain of $420 million, and liberalizing trade in dairy products and footwear would each have contributed $109 million to U.S. welfare in 1999. Table: Welfare Gain in the United States by Removing All Significant Import Restraints in 1999

Sector Textiles and apparel Marine transport Sugar Dairy Footwear Frozen fruits, juices & vegetables Ball and roller bearings Watches, clocks and parts Table and kitchenware Costume jewelry Ceramic wall and floor tiles Total

Welfare Gain (millions dollars) $13,040 656 420 109 109 11 10 10 5 3 3 14,376

Source: OECD, Market Access: Unfinished Business (OECD: Paris, 2001), p. 17.